Cap-and-trade plan debated

March 28, 2009

SIOUX FALLS - A legislative expert from a trade group representing state public service commissions said a national cap-and-trade system to reduce carbon could have a tough time passing the Senate this year. President Barack Obama has urged Congress to pass legislation that places a market-based cap on carbon emissions that are blamed for global warming. Chris Mele, legislative director of energy for the National Association of Regulatory Utility Commissioners, said it will be tough, but legislation to deal with greenhouse gases will eventually emerge from Washington. Karen Bridges, staff attorney for the Environmental Law and Policy Center, said a cap-and-trade system will have costs, but they can be managed and offset. States should look at how it could create new economic opportunities. Mele said lawmakers need to figure out whether there will be free allowances for carbon emissions, to whom they would go and how would the money be used. Bridges said it's important for Congress to craft a good bill that includes serious investment in next-generation energy technologies and is smart about cost-containment provisions. By The Associated Press